â  â â â  â  abstract â  this paper examines convergence of real gdp per capita in the selected east asian countries and this relationship with selected middle east countries during the period 1950-2009. the reason behind this refers to the fact that east asia countries (including china, hong kong, singapore, malaysia, indonesia, thailand, japan and south korea) have been involved in achieving ...

This paper presents the nonlinear IV methodology as an effective inferential basis for nonstationary panels. The nonlinear IV method resolves the inferential difficulties in testing for unit roots arising from the intrinsic heterogeneities and cross-dependencies of panel models. Individual units are allowed to be dependent through correlations among innovations, interrelatedness of short-run dy...

Missing data or missing values are a common phenomenon in applied panel research and of great interest for unit root testing. The standard approach the literature is to balance by removing units and/or trimming time period all units. However, this can be costly terms lost information. Instead, existing tests could extended case unbalanced panels, but often difficult because observations affect ...

We apply bootstrap methodology to unit root tests for dependent panels with N cross-sectional units and T time series observations. More speci cally, we let each panel be driven by a general linear process which may be di erent across crosssectional units, and approximate it by a nite order autoregressive integrated process of order increasing with T . As we allow the dependency among the innov...

The effect of the single currency on the Purchasing Power Parity (PPP) hypothesis is examined in this study for the 15 EU countries, vis a vis the US dollar, before and after the advent of the euro. Standard as well as nonlinear unit root tests are employed on the time series dimension. Unit root tests reject PPP and the highest half-lives are observed after the introduction of the single curre...

This paper applies univariate and panel data unit root tests to annual panel data for 182 countries over the period 1979-2000 to examine the stationarity properties of per capita energy consumption. The univariate unit root test can only reject the unit root null for 29 per cent of the countries at the 10 per cent level or better without a trend and 37 per cent of the countries at the 10 per ce...